GAINS AND LOSSES ON FOREIGN CURRENCY RATE FLUCTUAT

NON-MONETARY BUSINESS TRANSACTIONS 

EFFECTIVE FISCAL YEAR 2019 

Prepared By: 

GENERAL LEDGER AND ADVISORY BRANCH 

FISCAL ACCOUNTING 

BUREAU OF THE FISCAL SERVICE 

U.S. DEPARTMENT OF THE TREASURY 
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Version Number Date Description of Change Effective 

USSGL TF

1.0 04/23/2019 Original Version 2019-14 
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Background 

Throughout the year, Federal Program Agencies (FPAs) incur gains and losses on non-monetary business transaction

of foreign currency exchange rates. During the period of execution, gains and losses are incurred at the time of disburates move up/down. A gain is recognized when the exchange rate in the value of foreign currency decreases in relation to the equivalent dollar (USD). A loss is recognized when the exchange rate in the value of foreign currency increases in relation to tFor accounting purposes, applicable gains and losses are realized at the time of disbursement. Historically, USSGL guidance only addressed gains/losses from the revaluation of foreign currency at the end of foreign currency is revalued at the going exchange rate) for monetary assets, such as cash and cash equivalent in

USSGL Transaction Code D576 records a loss resulting from the revaluation of foreign currency in the Foreign C

(X7000 series) at the end of an accounting period, while Transaction Code D578 records a corresponding gain. Hotransaction-level guidance to standardize the accounting treatment of gains and losses related to non-monetary assets, s

in the normal course of business. Currently, FPAs utilize USSGL accounts 719000 and 729000 for recording these gains and losses. However, the onand losses recognized in the USSGL guidance are related to the revaluation of foreign currency investments (USSGForeign Currency Account Symbol (X7000 series). As currently written, the transactions associated with USSGL acc

do not provide a standard means for recording gains and losses incurred on non-monetary transactions in the normal standardized Transaction Codes are needed to account for gains/losses on unpaid obligations from the revaluation o

is a change in the foreign currency exchange rate between the time the funds are obligated, and the time the funds 

would be recorded immediately preceding the funds disbursement, rather than at the end of an accounting period. This scenario applies to FPAs with Treasury Accounts Symbols (TASs) that receive budgetary resources through absorb any gains/losses from currency fluctuations within the TAS. FPAs with foreign currency fluctuation account

to Transfer and Merge funding are addressed in a separate example and are excluded from this scenario. Those exclu

 Peace Corp (011X0101)  American Battle Monuments Commission (074X0101)  Department of Defense (097X0801)  Department of Defense (097X0803) 
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New USSGL Transactions (Effective FY 2019) 

B450 To record a gain on current year unpaid obligations due to fluctuation of foreign currency exchange rates on a where excess obligations due to the rate variance are deobligated at the time of disbursement. Comment: Also post, reverse to USSGL TC B134 for direct appropriations. Post this transaction immediately prece (USSGL TC B110). Budgetary Entry Proprietary Entry Debit 490100 Delivered Orders – Obligations, Unpaid Debit 211000 Accounts Payable  Credit 445000 Unapportioned Authority Credit 719000 Other Gains  Credit 451000 Apportionments  Credit 461000 Allotments – Realized Resources Justification: This transaction code is necessary to standardize the accounting treatment for gains and losses related to foreign 

monetary assets in the normal course of business. It should be recorded immediately preceding a fund disbursement, when the v

exchange rate decreases in relation to the US Dollar between the time the funds are obligated and the time the funds are disbursto be deobligated and a gain needs recognized. 

B452 To record a loss on current year unpaid obligations due to fluctuation of foreign currency exchange rates on where additional US equivalent dollars are obligated to cover the rate variance at the time of disbursement. Comment: Also post USSGL TC B134 for direct appropriations. Post this transaction immediately preceding disbu B110). Budgetary Entry Proprietary Entry Debit 461000 Allotments – Realized Resources Debit 729000 Other Losses  Credit 490100 Delivered Orders – Obligations, Unpaid Credit 211000 Accounts PayabJustification: This transaction code is necessary to standardize the accounting treatment for gains and losses related to foreign 

non-monetary assets in the normal course of business. It should be recorded immediately preceding a fund disbursement, when 

currency exchange rate increases in relation to the US Dollar between the time the funds are obligated and the time the funds a

US Dollar funds need to be obligated to cover differences, and a loss needs recorded. 
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D618 To record a gain on prior-year unpaid obligations due to fluctuation of foreign currency exchange rates on a n

where excess obligations of a prior year are adjusted downward due to the rate variance at the time of disbursement. Comment: Prior-year adjustments are used only in Year 2 or later. Record USSGL account 465000 if the authority h reverse to USSGL TC B134 for direct appropriations. Post this transaction immediately preceding disbu B110). Budgetary Entry Debit 497100 Downward Adjustments of Prior-Year Unpaid Delivered Orders – Obligations, Recoveries 

 Credit 445000 Unapportioned Authority  Credit 451000 Apportionments  Credit 461000 Allotments – Realized Resources  Credit 465000 Allotments – Expired Authority Proprietary Entry Debit 211000 Accounts Payable  Credit 719000 Other Gains 

Justification: This transaction code is necessary to standardize the accounting treatment for gains and losses related to foreign 

non-monetary assets in the normal course of business. It should be recorded immediately preceding a fund disbursement, when 

currency exchange rate decreases in relation to the US Dollar between the time the funds are obligated and the time the funds obligations need to be deobligated and a gain needs recognized. 

D626 To record a loss on prior-year unpaid obligations due to fluctuation of foreign currency exchange rates on a n

where excess obligations of a prior year are adjusted upward due to the rate variance at the time of disbursement. Comment: Prior-year adjustments are used only in Year 2 or later. Record USSGL account 465000 if the authority h

 USSGL TC B134 for direct appropriations. Post this transaction immediately preceding disbursement (UBudgetary Entry Debit 461000 Allotments – Realized Resources Debit 465000 Allotments – Expired Authority  Credit 498100 Upward Adjustments of Prior-Year Delivered Orders – Obligations, Unpaid Proprietary Entry Debit 729000 Other Losses  Credit 211000 Accounts Payable 
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Justification: This transaction code is necessary to standardize the accounting treatment for gains and losses related to foreign 

non-monetary assets in the normal course of business. It should be recorded immediately preceding a fund disbursement, when 

currency exchange rate increases in relation to the US Dollar between the time the funds are obligated and the time the funds aUS Dollar funds need to be obligated to cover differences, and a loss needs recorded. 

Listing of USSGL Accounts Used in This Scenario 

Account Number Account Title Budgetary 411900 Other Appropriations Realized 420100 Total Actual Resources – Collected 445000 Unapportioned Authority 451000 Apportionments 461000 Allotments – Realized Resources 465000 Allotments – Expired Authority 480100 Undelivered Orders – Obligations, Unpaid 490100 Delivered Orders – Obligations, Unpaid 490200 Delivered Orders – Obligations, Paid 497100 Downward Adjustments of Prior-Year Unpaid Delivered Orders – Oblig498100 Upward Adjustments of Prior-Year Delivered Orders – Obligations, UnpProprietary 101000 Fund Balance with Treasury 211000 Accounts Payable 310000 Unexpended Appropriations – Cumulative 310100 Unexpended Appropriations – Appropriations Received 310700 Unexpended Appropriations – Used 331000 Cumulative Results of Operations 570000 Expended Appropriations 610000 Operating Expenses/Program Costs 719000 Other Gains 729000 Other Losses 
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Scenario Assumptions The following overall assumptions are applicable to both the gain and the loss scenarios reflected in the transactions 

 In Year 1, the FPA entered into an agreement to purchase supplies for 900,000 Euros (EUR) from a foreign e

entity’s currency Euro exchange rate. 

 Obligations are posted in the FPA’s accounting system at the value of the US Dollar (USD).  At the time of agreement, the foreign currency exchange rate is 1 EUR = 1.12 USD.  In Year 1, the FPA obligated $1,008,000 in appropriated funds, with a foreign currency exchange rate of 1.12 

1.12). 

 Unobligated funds remaining at the end of Year 1 expire as of September 30th. 

 The FPA has Definite Budget Authority.  Beginning Trial Balances are not applicable in these scenarios.
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Scenario 1 – Gain on Foreign Currency Fluctuation 
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Year 1 Illustrative Transactions In the following transactions, a FPA creates current-year orders without an advance with a foreign vendor, who useFPA must convert the value of US Dollar to the Euro. When goods are delivered, the FPA records the delivery and acBefore the FPA can disburse a payment to the foreign vendor, it identifies that the foreign exchange rate has changobligated, the value of the US Dollar increases (and the exchange rate in the value of foreign currency decreases.) That the time of obligation was higher than the value at the time of disbursement. Excess obligations will need to be dneed to be recognized. Because the gain is recognized at the time of disbursement, this gain is also posted imdisbursement. 

1-1 To record the enactment of appropriations. 

DR CR 

Budgetary Entry 411900 Other Appropriations Realized  445000 Unapportioned Authority Proprietary Entry 101000 Fund Balance with Treasury  310100 Unexpended Appropriations – Appropriations Received 

5,000,000 5,000,000 

5,0005,000

1-2 To record budgetary authority apportioned by the Office of Management and Budget and available for allotm

DR CR 

Budgetary Entry 445000 Unapportioned Authority  451000 Apportionments Proprietary Entry None 

5,000,000 

5,000
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1-3 To record the allotment of authority. 

DR CR 

Budgetary Entry 451000 Apportionments  461000 Allotments – Realized Resources Proprietary Entry None 

5,000,000 

5,000

1-4 To record current-year undelivered orders without an advance. 

DR CR 

Budgetary Entry 461000 Allotments – Realized Resources  480100 Undelivered Orders – Obligations, Unpaid Proprietary Entry None 

1,008,000 

1,008

900,000 EUR order x 1.12 USD exchange rate = $ 1,008,000 Undelivered Order
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1-5 The agency receives delivery of goods and accrues a liability for 75% of the obligated balance on the agreem

delivery of goods and accrues an accounts payable. 

DR CR 

Budgetary Entry 480100 Undelivered Orders – Obligations, Unpaid  490100 Delivered Orders – Obligations, Unpaid Proprietary Entry 610000 Operating Expenses/Program Costs  211000 Accounts Payable 310700 Unexpended Appropriations – Used  570000 Expended Appropriations 

756,000 756,000 756,000 

756756756

$ 1,008,000 Obligation x 75% delivery of obligation = $ 756,000 accrual.
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1-6 The FPA records a gain on current-year unpaid obligations due to the fluctuation of foreign currency exchan

monetary transaction, in which excess obligations due to the rate of variance are deobligated at the time of d

DR CR 

Budgetary Entry 490100 Delivered Orders – Obligations, Unpaid  461000 Allotments – Realized Resources Proprietary Entry 211000 Accounts Payable  719000 Other Gains 570000 Expended Appropriations  310700 Unexpended Appropriations – Used 

47,250 47,250 47,250 

474747

At the time of obligation, the foreign currency exchange rate was (1 EUR = 1.12 USD).

At the time of disbursement, the foreign currency exchange rate has changed to (1 EUR = 1.05 USD). 

A Gain of $ 47,250 is recognized due to the increased USD value, and the decreased value of the EUR rate previously obligated, using the 

Gain = Value of obligation (1 EUR = 1.12 USD) – Value of obligation at time of disbursement (1 EUR = 1.05 USD) Gain = $ 756,000 Accrual at 1.12 USD – (900,000 EUR x 1.05 USD x 75% delivery of Obligation) Gain = $ 756,000 - $ 708,750 = $ 47,250

1-7 The FPA records a confirmed disbursement previously accrued. 

DR CR 

Budgetary Entry 490100 Delivered Orders – Obligations, Unpaid  490200 Delivered Orders – Obligations, Paid Proprietary Entry 211000 Accounts Payable  101000 Fund Balance with Treasury 

708,750 708,750 

708708
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1-8 The FPA receives delivery on and accrues a liability for the 25% remaining outstanding balance on the oblig

agreement. It records the delivery of goods and accrues an accounts payable. The disbursement of funds will 

DR CR 

Budgetary Entry 480100 Undelivered Orders – Obligations, Unpaid  490100 Delivered Orders – Obligations, Unpaid Proprietary Entry 610000 Operating Expenses/Program Costs  211000 Accounts Payable 310700 Unexpended Appropriations – Used  570000 Expended Appropriations 

252,000 252,000 252,000 

252252252

The Obligation was originally recorded at 900,000 EUR with an exchange rate of 1.12 USD = $ 1,008,000 Obligation. 25% of the original obligation was not yet delivered until this point.

Upon delivery of the remaining 25% of the $ 1,008,000 Obligation balance, the FPA accrues $ 252,000. 

$ 1,008,000 Obligation x 25% = $252,000 accrual.
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Year 1 Pre-Closing Adjusted Trial Balance 

USSGL Account Debit 

 Budgetary 411900 Other Appropriations Realized 5,000,0461000 Allotments – Realized Resources 480100 Undelivered Orders – Obligations, Unpaid 708,7490100 Delivered Orders – Obligations, Unpaid 490200 Delivered Orders – Obligations, Paid  TOTAL 5,708,7 Proprietary 101000 Fund Balance with Treasury 4,291,2211000 Accounts Payable 310100 Unexpended Appropriations – Appropriations Received 310700 Unexpended Appropriations – Used 960,7570000 Expended Appropriations 610000 Operating Expenses/Program Costs 1,008,0719000 Other Gains  TOTAL 6,260,0
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Year 1 Closing Entries

1-9 To record the consolidation of actual net-funded resources. 

DR CR 

Budgetary Entry 420100 Total Actual Resources Collected  411900 Other Appropriations Realized Proprietary Entry None 

5,000,000 

5,000

1-10 To record the closing of unobligated balances to expiring authority. 

DR CR 

Budgetary Entry 461000 Allotments – Realized Resources  465000 Allotments – Expired Authority Proprietary Entry None 

4,039,250 

4,039

1-11 To record the closing of paid delivered orders to total actual resources. 

DR CR 

Budgetary Entry 490200 Delivered Orders – Obligations, Paid  420100 Total Actual Resources – Collected Proprietary Entry None 

708,750 

708
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1-12 To record the closing of fiscal-year activity to unexpended appropriations. 

DR CR 

Budgetary Entry None Proprietary Entry 310100 Unexpended Appropriations – Appropriations Received  310000 Unexpended Appropriations – Cumulative 310000 Unexpended Appropriations- Cumulative  310700 Unexpended Appropriations- Used 

5,000,000 

 960,750 

5,000

 960

1-13 To record the closing of operating expenses/program costs to cumulative results of operations. 

DR CR 

Budgetary Entry None Proprietary Entry 331000 Cumulative Results of Operations 570000 Expended Appropriations  331000 Cumulative Results of Operations  610000 Operating Expenses/Program Costs 

1,008,000 

960,750 

 960

 1,008

1-14 To record the closing of other gains to cumulative results of operations 

DR CR 

Budgetary Entry None Proprietary Entry 719000 Other Gains  331000 Cumulative Results of Operations 

47,250 

47
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Year 1 Post-Closing Adjusted Trial Balance 

USSGL Account Debit 

 Budgetary 420100 Total Actual Resources – Collected 4,291,25465000 Allotments – Expired Authority - 480100 Undelivered Orders – Obligations, Unpaid 708,75490100 Delivered Orders – Obligations, Unpaid  TOTAL 5,000,00 Proprietary 101000 Fund Balance with Treasury 4,291,25211000 Accounts Payable 310000 Unexpended Appropriations – Cumulative  TOTAL 4,291,25
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Financial Statements – Year 1 

BALANCE SHEET – YEAR 1 

Assets: 

1. Fund Balance with Treasury (101000E) 15. Total Assets (calc. 6 through 14) 

Liabilities: 

21. Accounts Payable (211000E) 28. Total Liabilities (calc. 20 through 27) 

Net Position: 

31. Unexpended Appropriations – All Other Funds (310100E, 310700E) 33. Cumulative Results of Operations (331000E) 35. Total Net Position- All Other Funds (calc. 31 through 33) 36. Total Net Position (calc. 34 + 35) 37. Total Liabilities and Net Position (calc. 28 + 36) 

STATEMENT OF NET COST – YEAR 1 

Gross Program Costs: 

1. Gross Costs (610000 E) 2. Less: earned revenue (719000 E) 3. Net Program Costs (calc.) 5. Net Program Costs including Assumption Changes (calc.) 8. Net Cost of Operations (calc.) 
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STATEMENT OF CHANGES IN NET POSITION – YEAR 1 

Unexpended Appropriations Beginning Balance: 

1. Unexpended Appropriations – Cumulative 3. Beginning Balance, as adjusted (calc.) 4. Appropriations Received (310100 E) 7. Appropriations Used (310700 E) 8. Total Budgetary Financing Sources (calc.) 9. Total Unexpended Appropriations (calc.) 

Cumulative Results of Operations: Beginning Balance: 

10. Cumulative Results of Operations 12. Beginning Balance, as adjusted 

Budgetary Financing Sources: 

14. Appropriations Used (570000E) 23. Total Financing Sources (calc.) 24. Net Cost of Operations (+/-) 25. Net Change (calc.) 26. Cumulative Results of Operations (calc.) 27. Net Position (calc.) 
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STATEMENT OF BUDGETARY RESOURCES – YEAR 1 

Budgetary Resources: 

1290 Appropriations (discretionary and mandatory) (411900E) 1910 Total Budgetary Resources (calc. SBR Lines 1051+1290+1490+1690+1890) 

Status of Budgetary Resources: 

2190 New obligations and upward adjustments (total) (480100E, 490100E, 490200E) 

Unobligated balance, end of year: 

2204 Apportioned, unexpired account (461000E) 2412 Unexpired unobligated balance, end of year (calc. SBR Lines 2204 + 2304 + 2404) 2490 Unobligated balance, end of year (total) (calc. SBR Lines 2204, 2304, 2404, & 2413) 2500 Total budgetary resources (calc. SBR Lines 2190 + 2490) 

Outlays, Net: 

4190 Outlays, net (total) (discretionary and mandatory) (490200E) 4210 Agency outlays, net (discretionary and mandatory) 
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SF 133: Report on Budget Execution and Budgetary Resources & 

Budget Program and Financing Schedule (Schedule P) – YEAR 1

SF 133 

BUDGETARY RESOURCES 

 All accounts: 

0900 Total new obligations, unexpired accounts (480100E, 490100E, 490200E) 

Budget authority: Appropriations: Discretionary: 

1100 Appropriation (411900E) 5,0001160 Appropriations, discretionary (total) (calc. Lines 1100-1153) 5,0001900 Budget authority (total) 5,0001910 Total budgetary resources 5,0001930 Total budgetary resources available 

Memorandum (non-add) entries:All accounts:

1940 Unobligated balance expiring (-) (465000E) 

STATUS OF BUDGETARY RESOURCES New obligations and upward adjustments: Direct: 

2001 Category A (by quarter) (480100E, 490100E, 490200E) 9602004 Direct obligations (total) (calc. Lines 2001 - 2003) 9602170 New obligations, unexpired accounts (480100E, 490100E, 490200E) 9602190 New obligations and upward adjustments (total) (calc. Lines 2170 + 2180) 960

Unobligated balance: Apportioned, unexpired accounts: 

2201 Available in the current period (461000E) 4,039
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2412 Unexpired unobligated balance, end of year 4,039

2490 Unobligated balance, end of year (total) 4,0392500 Total budgetary resources (calc. Lines 2001 - 2403, and 2413) 5,000

CHANGE IN OBLIGATED BALANCE Unpaid obligations: 

3010 New obligations, unexpired accounts (480100E, 490100E, 490200E) 9603020 Outlays (gross) (-) (490200E) (708,3050 Unpaid obligations, end of year (480100E, 490100E) 2523100 Obligated balance, start of the year (calc. Lines 3000, 3001, 3060 and 3061) 3200 Obligated balance, end of year (+ or -) 252

 BUDGET AUTHORITY AND OUTLAYS, NET  Discretionary:  Gross budget authority and outlays: 

4000 Budget authority, gross 5,0004010 Outlays from new discretionary authority (490200E) 7084020 Outlays, gross (total) (calc. 4010 + 4011) 7084070 Budget authority, net (discretionary) 5,0004080 Outlays, net (discretionary) 708

Budget authority and outlays, net (total): 

4180 Budget authority, net (total) (calc. Lines 4070 and 4160) 5,0004190 Outlays, net (total) (calc. Lines 4080 and 4170) 708
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Year 2Illustrative Transactions During Year 2, the FPA is ready to disburse funds to the foreign vendor for expenses incurred in Year 1. 

Before the FPA disburses the payment to the foreign vendor, it identifies that the foreign exchange rate has changed f

in Year 1. After the goods were obligated with Year 1 Budgetary Authority, the value of the US Dollar increased (anvalue of foreign currency decreased.) Thus, the value of the goods at the time of obligation was higher than the value aExcess obligations will need to be deobligated, and a gain and downward adjustment will need to be recognized. Becaat the time of disbursement, this gain and downward adjustment are posted immediately preceding the disbursement

2-1 To record a gain on a prior-year unpaid obligation due to fluctuation of foreign currency exchange rates on 

transaction, where excess obligations of a prior-year are adjusted downward due to the rate variance at the ti

DR CR 

Budgetary Entry 497100 Downward Adjustments of Prior-Year Unpaid Delivered Orders – Obligations, Recoveries  465000 Allotments – Expired Authority Proprietary Entry 211000 Accounts Payable  719000 Other Gains 570000 Expended Appropriations  310700 Unexpended Appropriations – Used 

4,500 4,500 4,500 

444

At the time of obligation, the foreign currency exchange rate was (1 EUR = 1.12 USD).At the time of disbursement in Year 2, the foreign currency exchange rate has changed to (1 EUR = 1.10 USD).

A $4,500 Gain and Downward Adjustment are recognized due to the increased value of the USD, and the decreased value of the EUR ra

using the following formula: Gain = Value of obligation (1 EUR = 1.12 USD) – Value of obligation at time of disbursement (1 EUR = 1.10 USD) Gain = $252,000 Accrual at 1.12 USD – (900,000 EUR x 1.10 USD x 25% delivery of Obligation)

Gain = $252,000 - $247,500 = $4,500. 
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2-2 To record a confirmed disbursement schedule previously accrued.

DR CR 

Budgetary Entry 490100 Delivered Orders – Obligations, Unpaid  490200 Delivered Orders – Obligations, Paid Proprietary Entry 211000 Accounts Payable  101000 Fund Balance with Treasury 

247,500 247,500 

247247
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Year 2 Pre-Closing Adjusted Trial Balances 

USSGL Accounts Debi

 Budgetary 420100 Total Actual Resources – Collected 4,29465000 Allotments – Expired Authority 480100 Undelivered Orders – Obligations, Unpaid 70490100 Delivered Orders – Obligations, Unpaid 490200 Delivered Orders – Obligations, Paid 497100 Downward Adjustments of Prior-Year Unpaid Delivered Orders – Obligations, 

Recoveries 

 TOTAL 5,00 Proprietary 101000 Fund Balance with Treasury 4,04310000 Unexpended Appropriations – Cumulative 310700 Unexpended Appropriations – Used 570000 Expended Appropriations 610000 Operating Expenses/Program Costs 719000 Other Gains  TOTAL 4,04
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Year 2 Closing Entries 

2-3 To record the closing of paid delivered orders to total actual resources. 

DR CR 

Budgetary Entry 490200 Delivered Orders – Obligations, Paid  420100 Total Actual Resources – Collected Proprietary Entry None 

247,500 

247

2-4 To record the closing of downward adjustments to prior-year unpaid delivered orders - obligations, recover

DR CR 

Budgetary Entry 490100 Delivered Orders – Obligations, Unpaid  497100 Downward Adjustments of Prior-Year Unpaid Delivered Orders – Obligations, Recoveries Proprietary Entry None 

4,500 

 4

2-5 To record the closing of fiscal-year activity to unexpended appropriations. 

DR CR 

Budgetary Entry None Proprietary Entry 310700 Unexpended Appropriations – Used  310000 Unexpended Appropriations – Cumulative 

4,500 

4
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2-6 To record the closing of expended appropriations to cumulative results of operations. 

DR CR 

Budgetary Entry None Proprietary Entry 331000 Cumulative Results of Operations  570000 Expended Appropriations 

4,500 

4

2-7 To record the closing of other gains to cumulative results of operations. 

DR CR 

Budgetary Entry None Proprietary Entry 719000 Other Gains  331000 Cumulative Results of Operations 

4,500 

4

Year 2 Post-Closing Adjusted Trial Balances

USSGL Accounts Debit 

 Budgetary 420100 Total Actual Resources – Collected 4,043465000 Allotments – Expired Authority 480100 Undelivered Orders – Obligations, Unpaid 708490100 Delivered Orders – Obligations, Unpaid  TOTAL 4,752 Proprietary 101000 Fund Balance with Treasury 4,043310000 Unexpended Appropriations – Cumulative  TOTAL 4,043
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Financial Statements – Year 2

BALANCE SHEET – YEAR 2 

Assets: 

 1. Fund Balance with Treasury (101000E)  15. Total Assets (calc. 6 through 14) 

Liabilities: 

 28. Total Liabilities (calc. 20 through 27) 

Net Position: 

 31. Unexpended Appropriations – All Other Funds (310000E, 310700E)  33. Cumulative Results of Operations- All Other Funds (331000E)  35. Total Net Position – All Other Funds (calc.)  36. Total Net Position (calc.)  37. Total Liabilities and Net Position (calc.) 

STATEMENT OF NET COST – YEAR 2 

Gross Program Costs: 

2. Less: Other Gains (719000E) 3. Net Program Costs (calc.) 5. Net Program Costs including Assumption Changes (calc.) 8. Net Cost of Operations (calc.) 
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STATEMENT OF CHANGES IN NET POSITION – YEAR 2 

Unexpended Appropriations Beginning Balance: 

1. Unexpended Appropriations – Cumulative (310000B) 3. Beginning Balance, as Adjusted (calc.) 7. Appropriations Used (310700 E) 8. Total Budgetary Financing Sources (calc.) 9. Total Unexpended Appropriations (calc.) 

Cumulative Results of Operations: Beginning Balance: 

10. Cumulative Results of Operations 12. Beginning Balance, as adjusted 

Budgetary Financing Sources: 

14. Appropriations Used (570000E) 23. Total Financing Sources (calc.) 24. Net Cost of Operations (+/-) 25. Net Change (calc.) 26. Cumulative Results of Operations (calc.) 27. Net Position (calc.) 
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STATEMENT OF BUDGETARY RESOURCES – YEAR 2 

Budgetary Resources: 

1051 Unobligated balance from prior year budget authority, net (420100B) 1910 Total Budgetary Resources (calc. SBR Lines 1051+1290+1490+1690+1890) 

Status of Budgetary Resources: 

2190 New obligations and upward adjustments (total) (480100, 490100, 490200E, & 497100E) 

Unobligated balance, end of year:

2413 Expired unobligated balance, end of year (465000E) 2490 Unobligated balance, end of year (total) (calc. SBR Lines 2204, 2304, 2404, & 2413) 2500 Total budgetary resources (calc. SBR Lines 2190 + 2490) 

Outlays, Net: 

4190 Outlays, net (total) (discretionary and mandatory) (490200E) 4210 Agency outlays, net (discretionary and mandatory) 
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SF 133: Report on Budget Execution and Budgetary Resources & 

Budget Program and Financing Schedule (Schedule P) – YEAR 2

SF 13

BUDGETARY RESOURCES 

 Unobligated balance: 

1000 Unobligated balance brought forward, Oct 1 (420100B) 4,29

Budget authority: Appropriations: Discretionary: 

1900 Budget authority (total) 4,291910 Total budgetary resources 4,291930 Total budgetary resources available 

Memorandum (non-add) entries:All accounts:

1940 Unobligated balance expiring (-) 

STATUS OF BUDGETARY RESOURCES New obligations and upward adjustments: 

2001 Category A (by quarter) (480100E, 490100E, 490200E) 242004 Direct obligations (total) (calc. Lines 2001 - 2003) 242180 Obligations (“upward adjustments”), expired accounts (480100E, 490100E, 490200E, & 

497100E) 

24

2190 New obligations and upward adjustments (total) 24

Unobligated balance: 

 Expired accounts 

2413 Expired unobligated balance, end of year (465000E) 4,042490 Unobligated balance, end of year 4,042500 Total budgetary resources (calc. Lines 2001 through 2403, and 2413) 4,29
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CHANGE IN OBLIGATED BALANCE Unpaid obligations: 

3000 Unpaid obligations, brought forward, Oct 1 (480100B, 490100B) 253001 Adjustments to unpaid obligations, brought forward, Oct 1 (497100E) (43010 New obligations, unexpired accounts (480100E, 490200E) 3020 Outlays (gross) (-) (490200E) 243050 Unpaid obligations, end of year (480100E, 490100E, 497100E) 3100 Obligated balance, start of the year (calc. Lines 3000, 3001, 3060 and 3061) 253200 Obligated balance, end of year (calc.) 

 BUDGET AUTHORITY AND OUTLAYS, NET  Discretionary:  Gross budget authority and outlays: 

4011 Outlays from discretionary balances (490200E) 244020 Outlays, gross (total) (calc. 4010 + 4011) 24

 4080 Outlays, net (discretionary) 24

Budget authority and outlays, net (total): 

4180 Budget authority, net (total) (calc. Lines 4070 + 4160) 4190 Outlays, net (total) (calc. Lines 4080 + 4170) 24
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Reclassified Financial Statements 

RECLASSIFIED BALANCE SHEET 

1 Assets 3 Federal 3.1 Fund balance with Treasury (101000E) 3.14 Total federal assets 4 Total assets (calc.) 5 Liabilities 8 Total liabilities (calc.) 9 Net position: 9.2 Net position – funds other than those from dedicated collections (310000E) 10 Total net position (calc.) 11 Total liabilities and net position (calc.) 

RECLASSIFIED STATEMENT OF NET COST 

10 Earned Revenue 11 Non-federal earned revenue (719000N) 13 Total federal earned revenue (calc.) 14 Department total earned revenue (calc.) 15 Net cost of operations (calc.) 
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RECLASSIFIED STATEMENT OF OPERATIONS AND CHANGES IN NET POSITIO

1 Net position, beginning of period 7 Budgetary financing sources: 7.2 Appropriations used (310700E) 7.3 Appropriations expended (570000E) 7.20 Total budgetary financing sources (calc.) 9 Net cost of operations (+/-) 10 Net position, end of period 
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Scenario 2 – Loss on Foreign Currency Fluctuation 
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Year 1 Illustrative Transactions In the following transactions, a Federal Program Agency (FPA) creates current-year orders without an advance with a Euros as currency. The FPA must convert the value of US Dollar to the Euro. When goods are delivered, the FPA accrues an accounts payable. Before the FPA can disburse a payment to the foreign vendor, it identifies that the foreign exchange rate has changobligated, the value of the US Dollar decreases (and the exchange rate in the value of foreign currency increases.) That the time of obligation was lower than the value at the time of disbursement. Additional US Dollar funds will neethe difference, and a loss will need to be recognized. Because the loss is recognized at the time of disbursemen

immediately preceding the disbursement. 

1-1 To record the enactment of appropriations. 

DR CR 

Budgetary Entry 411900 Other Appropriations Realized  445000 Unapportioned Authority Proprietary Entry 101000 Fund Balance with Treasury  310100 Unexpended Appropriations – Appropriations Received 

5,000,000 5,000,000 

5,0005,000

1-2 To record budgetary authority apportioned by the Office of Management and Budget and available for allotm

DR CR 

Budgetary Entry 445000 Unapportioned Authority  451000 Apportionments Proprietary Entry None 

5,000,000 

5,000
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1-3 To record the allotment of authority. 

DR CR 

Budgetary Entry 451000 Apportionments  461000 Allotments – Realized Resources Proprietary Entry None 

5,000,000 

5,000

1-4 To record current-year undelivered orders without an advance. 

DR CR 

Budgetary Entry 461000 Allotments – Realized Resources  480100 Undelivered Orders – Obligations, Unpaid Proprietary Entry None 

1,008,000 

1,008

900,000 EUR Order x 1.12 USD exchange rate = $ 1,008,000 Undelivered Order